12 July 2012
Dear Sanjay. in this case Mr. Siddhartha is wrong. circular 4/2008 is applicable only on 194 I i.e. for rent in 194 H there is no exemption. So you will deduct TDS on full amount inclusive of service tax
12 July 2012
cicular say Service tax paid by the tenant doesnt partake the nature of income of the landlord. The landlord only acts as a collecting agency for Government for collection of service tax. Therefore it has been decided that tax deduction at source (TDS) under sections 194-I of Income-tax Act would be required to be made on the amount of rent paid/payable without including the service tax. So when even circular say it is only for 194-I. Then how can you apply this all otehr sections
12 July 2012
CA prashant Gupta Openion and answer right . becuase Tds deduct full amount of bill under sec 194H. inclusive of service tax . that is applicable on rent only
CAclubindia
